Currently the United States has a shortage of nearly 3.8 million single family homes and that squeeze is really being felt right now. In some places it’s been reported that houses are selling for nearly a million over asking price and houses are disappearing off the market almost as fast as they’re appearing. The word to describe the market is, Hostile.
A real estate market is designated as such when it’s drastically over capacity and intensely competitive. It’s hostile to potential buyers instead of sellers. People are going to extreme measures to secure a house right now, and it’s become very daunting for new buyers.
How Did We Get Here?
Due to development on new homes slowing for years, an intense shortage has been created. Interest rates have been steadily declining for months, encouraging more people to go looking for their first or a new home. The result is more people entering a market with fewer homes available. The competition that’s resulted from this has been getting more and more intense as time goes by.
How to go Forward
If you’re in the market to buy a house, or about to join the market it can be pretty daunting looking at the market and throwing yourself into the fray. The best thing you can do is get as much prep work done before you start looking. Having a strong buying plan with as many of the kinks on your side worked out before you submit your offer is the surest way of increasing your odds to get the house of your dreams.
If you have more questions, contact us! At Frank B. Pallotta Law we are licensed Real Estate Lawyers with 20 years of experience helping our clients in Georgia navigate the closing process. Reach out to us with your questions. We’re committed to demystifying the closing process, one question at a time.